Industry Revenues:

• Semiconductor Components: 45%
• Display Solutions: 30%
• Network and Communication Technologies: 25%

TOP 3 Markets:

• South Korea: 35%
• China: 25%
• USA: 20%

Samsung Electro-Mechanics Co., Ltd. generates the majority of its revenues from the semiconductor components industry, followed by display solutions and network and communication technologies. This diversification allows the company to benefit from various technological trends.

Geographically, South Korea is the largest market for Samsung Electro-Mechanics, supported by Samsung's strong presence and influence in the region. China and the USA follow as significant markets, with demand for technological components remaining strong in these countries.

Production sites of Samsung Electro-Mechanics:

Samsung Electro-Mechanics operates production facilities in several countries to efficiently serve its global markets. The key production sites include:

1. South Korea: Headquarters and multiple production plants focusing on the manufacturing of ceramic capacitors, printed circuit boards, and other electronic components.

2. China: Production facilities in Tianjin and Suzhou producing a variety of electronic components to serve the Asian market.

3. Vietnam: Significant production capacities, especially for the manufacturing of camera modules and other components for mobile devices.

4. Philippines: Production plants specializing in the manufacturing of passive components and other electronic components.

These sites enable Samsung Electro-Mechanics to efficiently produce a wide range of products and distribute them worldwide. The strategic placement of production facilities helps the company minimize logistics costs and quickly respond to market demands.

Focus on 5G Components and Automotive Industry

Expansion of Production Capacities in Asia

Samsung Electro-Mechanics Co., Ltd. is pursuing a growth strategy that heavily focuses on the development and production of components for 5G technology and the automotive industry. The company is investing significantly in research and development to expand and enhance its product range in these areas.

In addition, Samsung Electro-Mechanics plans to expand its production capacities in Asia to more efficiently meet the increasing demand for its products. This expansion is also intended to optimize supply chains and reduce production costs.

Through these strategic measures, Samsung Electro-Mechanics is positioning itself as a leading provider in high-growth technology sectors and aims to significantly increase its market share in the coming years.

Main raw materials: Rare earths, copper, aluminum, ceramic materials

Countries of origin:

• Rare earths: China
• Copper: Chile, Peru
• Aluminum: Australia, Canada
• Ceramic materials: Japan, Germany

Samsung Electro-Mechanics Co., Ltd. imports a variety of raw materials essential for the production of their electronic components. Rare earths, needed for the production of capacitors and other electronic components, mainly come from China, the world's largest producer of these materials.

Copper and aluminum, used in circuit boards and other electrical components, are mainly sourced from Chile, Peru, Australia, and Canada. These countries are known for their extensive reserves and high quality of raw materials.

Ceramic materials used in the production of Multilayer Ceramic Capacitors (MLCCs) are often imported from Japan and Germany, as these countries are leading in the production of high-purity and specialized ceramic materials.

Market share in the electronics components industry: 12% (2024, estimate)
R&D expenses as a percentage of revenue: 8% (2024)
Gross margin: 25.5% (2024)

Samsung Electro-Mechanics Co., Ltd. has a significant competitive advantage due to its strong position in the electronics components industry, especially in passive components and modules. The estimated market share of 12% indicates that the company plays a significant role in this sector.

Another key advantage is the high investment in research and development, which accounts for about 8% of revenue. These investments enable the company to continuously develop innovative products and differentiate itself from competitors.

The gross margin of 25.5% suggests that Samsung Electro-Mechanics is able to sell its products with a healthy profit margin, indicating efficient production processes and strong pricing. These factors together significantly strengthen the company's competitive position.

Institutional Investor Share: approx. 55% (estimate based on 2023)

Insider Buys/Sells: No significant changes reported (2025)

The institutional investor share in Samsung Electro-Mechanics Co., Ltd. was recently around 55%. This figure is based on available data from 2023 and may have slightly changed by 2025, but no drastic shifts are known.

Regarding insider buys or sells, there are no significant reports for the year 2025 indicating major transactions. This suggests that management's confidence in the current corporate strategy remains stable.

Market share of Samsung Electro-Mechanics Co., Ltd.: Estimated 8% (2025)

Top competitors and their market shares:

1. Murata Manufacturing Co., Ltd.: 15%
2. TDK Corporation: 12%
3. Yageo Corporation: 10%
4. Taiyo Yuden Co., Ltd.: 9%
5. Samsung Electro-Mechanics Co., Ltd.: 8%
6. Kyocera Corporation: 7%
7. AVX Corporation: 5%
8. Vishay Intertechnology, Inc.: 4%
9. Kemet Corporation: 3%
10. Walsin Technology Corporation: 2%

Samsung Electro-Mechanics Co., Ltd. is a significant player in the field of electronic components, especially in passive components such as capacitors and inductors. The market share of approximately 8% positions the company in the middle of the industry.

Samsung Electro-Mechanics' moat mainly lies in its close connection to the Samsung Group, enabling synergies and preferred access to resources. This can be seen as an advantage, particularly in terms of research and development as well as economies of scale.

However, some of the competitors, such as Murata Manufacturing and TDK Corporation, may have a stronger moat due to their specialized technologies and broader product portfolios. These companies often have a longer history in developing innovative products and a larger global market share.

Overall, Samsung Electro-Mechanics has a solid but not insurmountable moat. Competition in the industry is strong, and technological advancement plays a crucial role in maintaining and expanding market share.

Revenue Growth: 8.2% (2024)
Profit Growth: 10.5% (2024)
R&D Expenses: 7.5% of revenue (2024)

Samsung Electro-Mechanics Co., Ltd. recorded a solid revenue growth of 8.2% in 2024, attributed to strong demand for its electronic components and an effective market strategy. The profit growth of 10.5% in the same year indicates that the company was able to increase its efficiency and optimize its cost structure.

Another positive aspect is the investment in research and development, accounting for 7.5% of revenue. This suggests that the company is striving to remain competitive through innovation and develop new technologies that can support future growth.

Overall, Samsung Electro-Mechanics demonstrates strong financial performance and a strategic focus on innovation, making it a potentially attractive investment. However, investors should also consider external factors such as market conditions and geopolitical risks before making a final decision.

Dividend Yield: Estimated 2.5% (2025)

Samsung Electro-Mechanics Co., Ltd. has regularly distributed dividends in the past. The company's dividend policy aims to provide shareholders with a stable return while retaining sufficient funds for investments and growth within the company.

The payout is considered relatively reliable as the company has consistently paid dividends in recent years despite economic fluctuations. The financial stability and strong market position of Samsung Electro-Mechanics support this reliability. Analysts expect the company to continue its dividend policy unless significant economic or company-specific challenges arise.